Every time I start up the red5 server it works but hangs so only way to stop it is to close terminal window, I've never been able to command start and stop it and go on to something else without losing my shell connection.

1 Answer
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To clarify my comment, Control+z pauses a process and returns control to the shell. From there fg will unpause it in the foreground and bg will unpause it in the background. You can initially start it in the background by adding & to the end of your command line.